Familiarize yourself with the following terms and concepts discussed this week in preparation for completion of this assignment: market capitalization, economic value created, sustainable strategy,...

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COVER PAGE
Table of Contents
Role of strategic management in competitive advantage    3
Top focus of Caterpillar Incorporation    3
Caterpillar incorporation approach towards value and cost of business strategy    3
Strength and weakness of caterpillar incorporation’s competitive advantage    4
Influence of ethics, social responsibility, and legal considerations on strategic planning    5
Value of CSR, identifying either Caterpillar’s CSR meeting the values or not    5
Role of ethics and social responsibility in developing a caterpillar's strategic plan    6
References    7
Role of strategic management in competitive advantage
Competitive advantage refers to a unique aspect of any organization, which differentiates that organization from other players of the same industry. In order to achieve a competitive advantage, the organization needs to develop their vision in such a way so that it automatically uniquely identifies a firm. To achieve the organization’s vision the company must develop a qualified strategic plan. Through the discussion, it can be easily determined that a strategic plan plays a vital role in achieving a competitive advantage.
Top focus of Caterpillar Incorporation
As per the company's strategy and purpose, it is found that the company wants to maximize its profit by delivering solutions to its customers and shareholders (Caterpillar.com, 2019). Hence, it is proved the company is more concerned about accounting profit rather than shareholder value creation or economic value creation.
Caterpillar incorporation approach towards value and cost of business strategy
As per Caterpillar Inc.'s business strategy, it can be easily obtained that the organization is aimed towards generating profit through delivering sustainable products or services. In order to do so, they have invested around $ 3,339 and $ 4,259 in the year 2017 and 2018 respectively...